An anonymized job application process can serve to reduce conscious or subconscious discrimination of applicants. This is the result of a pilot project carried out by the German Federal Anti-Discrimination Agency (ADS) and scientifically accompanied by IZA and KOWA (European University Viadrina). Together with Christine Lüders, head of the ADS, IZA Director Klaus F. Zimmermann presented the findings from the project to the public in Berlin. The analysis showed that anonymization of attributes such as name, photograph, gender, age and ethnic origin of the applicant is effective at creating equal opportunity for all groups to get a job interview.
“Empirical studies point to a serious extent of discrimination in the German labor market. Both hidden and open discrimination lead to an enormous waste of potential. Particularly the unequal treatment of women, migrants and older job applicants causes substantial economic damage. In view of the increasing shortage of skilled labor, we can no longer afford this waste of resources – not to mention the social and ethical aspects of unequal opportunity,” said Zimmermann.
A number of private-sector companies and administrative bodies voluntarily took part in the project and modified their application procedures for the purpose of anonymizing incoming applications. Within the 12-month project period, a total of 8,550 applications were screened, of which 1,293 applicants were invited to an interview or admission test. The goal of the project was to answer two key questions: Do anonymized job applications have an effect on the hiring process? And is it practically feasible to implement this type of application procedure?
Anonymized job applications foster equal opportunity
The empirical analysis was carried out in two steps. First, it was investigated whether applicants are experiencing equal opportunity within the anonymous application procedure. Then, the counterfactual situation without anonymity was analyzed to identify possible causal effects.
The results of the first part of the analysis indicate that after personal details such as name, age, gender, indications of ethnic origin, and the photograph which is usually required for job applications in Germany, are removed from incoming applications, there is close to equal opportunity within the group of applicants. The process of anonymized applications offers potentially disadvantaged groups – women of child-bearing age or people with foreign names – the same chance to be invited to the next round of the application process, at which they can bring into play their qualifications, work experience and other job-related characteristics.
In the subsequent part of the analysis, the comparison with conventional application procedures shows the effects on individual groups. For example, women tend to have better chances of being invited to an interview. There are indications that this is particularly true for job descriptions that require a minimum level of professional experience, whereas at entry level the effect is less pronounced. An anonymous application process therefore seems to benefit young women who may be discriminated against on the grounds of past – or expected – interruptions in their employment history due to childbirth.
For applicants who had an immigrant background the initial situation varied. Had they been consciously or unconsciously discriminated against previously, their chances improved after the introduction of anonymized applications. However, this modification did not have any effect on the immigrant group if systematic differences in the treatment of this group had not previously existed, i.e., active measures to prevent discrimination in hiring had already been successfully implemented. It must be noted that some of the organizations that volunteered to take part in the project had already actively promoted “ethnic diversity”. If potentially disadvantaged groups received preferential treatment before the modification, the anonymized process may in fact lower their chances to be invited, while preferential treatment was still possible in the next step of the screening process.
Limitations of the project
Although the empirical results provide important clues to the effects of anonymous application processes, further studies are necessary, also with respect to the identification of causal effects. Since it was not possible to carry out this pilot project as a social experiment, causal effects could not be analyzed by randomly assigning applicants to anonymized and non-anonymized application processes. The use of control groups did provide important insights but did not permit a final assessment of causality. Moreover, the voluntarily participating organizations did not constitute a representative sample of all employers. Since many of them had already taken active measures to raise awareness among their recruitment staff, the method of anonymization only had limited potential in these cases and may lead to more significant results in companies with little awareness of the benefits of diversity. Moreover, the number of observations was too low to draw reliable conclusions with respect to the probability of receiving a job offer in the end.
Practical implementation feasible
Judging from the statements of the human resource managers involved in the project, the anonymous application process can be implemented for many different job types, and good job matches can be found. The majority voiced no concerns that the lack of personal information, such as name, gender, age and marital status in the application documents posed any problem. Some emphasized that the absence of a photo drew the main focus on the relevant qualifications. It was also welcomed by many that the introduction of the anonymous application process triggered a discussion of current hiring practices in their organization.
With regard to the methods of anonymization, the use of standardized application forms proved to be the preferred solution, which basically suits all forms of organizations. The experience was consistently positive. On the other hand, manually removing or hiding personal details from conventional application forms was found too time-consuming if a large number of applications were received. Positive feedback also came from the applicants who participated in the pilot project.
Outlook: After the pilot project
Whether or not to use an anonymous application will continue to be the employer’s own decision. There are no plans to make this a legal mandate. Despite the limitations of the analysis, the findings are encouraging: For many companies, it may be worthwhile establishing an anonymous application process to identify the best-qualified applicants without running the risk of accidentally sorting out particularly suitable candidates. Yet, changes in application procedures can only be one component of a larger strategy. At the same time, the job requirements as well as the selection criteria must be precise and transparent in order for a method like anonymization to unfold its full potential in putting qualifications at the core of the hiring process.
In the long run, it certainly makes sense to implement an anonymized – or at least “skill-centered” – application process. An option could be to do without personal details (photo, name, address, date of birth, place of birth, nationality and marital status) while tolerating further information that allows indirect conclusions aspects like age or ethnic origin. Removing personal details from the first page of the application might already serve to shift the focus on qualifications without preventing the attachment of official documents and certificates that contain this information.
This does not rule out establishing or continuing corporate recruitment programs that promote hiring underrepresented groups. Diversity strategies that are not too rigid, but take into account qualifications, can be applied further on in order to counteract structural inequality. In this context, the anonymized application process provides only one aspect of diversity management in organizations. They can indeed reduce the disadvantages of particular groups at a critical stage and help create more equality in the application process, but they cannot offset structural discrimination over the course of a working life, particularly in education or career development. This will require additional strategies. In general, it seems desirable to add transparency and objectivity to the hiring process.
Final report of the pilot project (PDF, 2.8 MB)
